The Tax Rates of Wall Streeters and Steelworkers
During a rousing speech in Pittsburgh on Labor Day, Joe Biden said:
Why in God’s name should a man or woman working in a steel mill making $50,000 a year pay a higher [tax] rate than someone who makes tens of millions of dollars on Wall Street? … The tax code is not fair. It’s simply not fair. The wealthy aren’t paying their fair share.
That statement is demonstrably false, and like similar claims, it is based upon incomplete measures of taxes. To determine overall tax rates, one must account...